Market's view on Baltic Classifieds Group

Published on April 2024

  • Stock watchers express concerns over Antler’s decision to sell an additional 3% of their holdings in BCG during the lock-up period, questioning the urgency and potential consequences of such actions.
  • Observations are made on the company’s financial performance, noting that the second half of the year should show cleaner results without the initial listing costs.
  • Criticism is directed towards the management of Baltic for the handling of the company’s shares by Merrill Lynch.
  • There’s a discussion on a recent share placement of 35 million shares by Merrill Lynch at a 5% discount, with a short cooling-off period noted before the seller can return to the market.
  • Positive remarks are made regarding recent good results which beat most initial public offering (IPO) metrics despite an earnings per share loss due to listing costs. Confidence is shown in the management’s potential for future growth and dividend payouts.
  • Mention of Blackrock increasing its stake in the company, indicating institutional support and likely confidence in the company’s stock stability and growth potential.
  • A significant trading day is noted with 2,675,000 shares traded at 207p.
  • Brunner IT’s interest in the company post-IPO is highlighted, along with their intention to increase their holdings, reflecting a positive outlook on the company’s market position and growth potential in the Baltic region.
  • The company’s primary operations include owning 12 classified ad websites active in various sectors across the Baltic region, with a noted strong market leadership and expectations for robust growth.
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